Cliff Notes: WILL TESLA'S STOCK CRASH? - podcast episode cover

Cliff Notes: WILL TESLA'S STOCK CRASH?

May 30, 202113 min
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Speaker 1

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Speaker 2

This is for those of you that have huge hearts. One of my biggest mistakes is giving too much. And the truth is like you can give your way into poverty. You can help others so much that your cup will be empty. And kudos to Matt. When I flew back to Atlanta, Lexander. As soon as I came in, it was like eleven thirty and Matt and his wife's at the bar, and one of the things she was saying was like, listen, you can keep pouring into other people but then not have anything left for yourself. You have

to guard yourself and protect yourself. So for those of you with big hearts, and you can give, and that can be another version of spending. So you may not spend it on Louis bags or Gucci bags or diamonds, but you can give away so much that it ends up hurting your network. So for my givers, I need you to know this. You have to set a percentage

of what you would give and stop there. If you have an exceptionally big heart, please put the percentage in chat that you're going to give away per year to help others, and don't exceed that because some of us may be, say and be very thrifty in certain areas, but.

Speaker 3

We can overgive.

Speaker 2

Helping others and then it's no different than giving all our money away to a company, So please be mindful of that. You know, I love Elon, but the Elon's turning to the crypto killer, So I saw this tweet and I thought it was pretty interesting, and it said Bitcoin isn't going to slap themselves next quarter when they find out Tessa's dumping all of their Bitcoin holdings, and

Tesla said, indeed, listen, I love Elon. I don't know how he's able to get away with some of the things that well, cryptocurrencies are not regulated in the same way that securities are. So that's part of the reason why I told the stock club members earlier before we got on. He's in a very interesting situation with China where China is now trying to control him and Tesla, and he began dumping an asset that he was using to hedge to then get into another asset where he doesn't have much control.

Speaker 3

We've seen this with.

Speaker 2

Jack Ma and China is a very very dictatorial regime, as is the United States, but they are a little bit tougher than we are. So part of the reason why he is starting to dump Bitcoin is because some of the issues that he is facing in China and the sales of the cars, because you already promised that Tesla was going to have a significant impact, and now he's starting to realize that may not have been the

best move there. Michael Burry of the Big Short, a book that I mentioned earlier, has eight hundred thousand Tesla put options in the first quarter worth five hundred and thirty four million. For those of you who do not know, Michael Burry is the person that called the housing crash.

Speaker 3

Embedded heavily on it.

Speaker 2

Homework for tonight, I need you to go look and see when he began placing these shorts on Tesla, and then correlate that on a chart to see what price he got in. If you do that, you can start to reverse engineer and see based off of percentage basis when he is looking to get into his position. A key lesson for everyone here. You have to listen to the contrariant opinions of the greats. So whenever this happens, people are gonna be like, no, Tess is going to

go up. I'm not saying Tessa's not going to go back up, but remember a few months ago I told you they were going to start.

Speaker 3

To hit some issues.

Speaker 2

Once they hit those highs, and then if Kathy gets attacked what she has and then all the funds begin to dwindle down, her fun and squeeze her. The assets in her holdings are going to take a hit as well, and that's what we're starting to see here, and Michael Burry is taking advantage of that as well. A lot of you have been asking us, what's up ATTECHT Nothing, nothing's over at Tech. You're just not going to get an easy eighty percent or two hundred percent this year.

We're going to be back to the normal twelve to eighteen percent, maybe twenty three percent in a great company. Write this down. Focus on companies with the lost lowest draw down. Focus on companies with the lowest draw down. Mike Novagratz came on here a few weeks ago and told us that minimization of risks is everything. And I know it's much more fun to get one hundred and ten percent gain to focus on a company that's only going to draw down eight percent for the year, But.

Speaker 3

You have to look at it.

Speaker 2

Defense wins championships, especially when it comes to investing. And this week my got Pete had asked me. He's like, hey, are you a believer in crypto? My stance is still the same. I want to be on the record, I still hate it, but I still am invested in The only crypto holding I am in right now isn't Big Earners.

Speaker 3

What's up?

Speaker 4

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Speaker 5

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Speaker 3

Dealer coin and I've had that position for a few years.

Speaker 2

Kayler came on here and told you guys about Cardinal Cardino hit an off time high, and while other cryptos were getting torn apart, Cardono was doing incredibly well. So please be mindful of that. Now write this down. There is a cycle that you will see. So when negativity is spread, it's often to free up shares of the asset. So if I come to you and say, hey, man, don't invest in wing Stopper McDonald's because I don't know me. You know people don't. People are lending towards or leading

towards eating healthy, don't invest in it. You will see the same thing in crypto real estate investing, and people are often doing that. And when there's a concerted effort all at one time, when everyone is blasting one asset, it's usually because other companies or institutions are trying to

get the assets for themselves. This is like investment's version of dressingesture like they want to keep you away from certain things, and then take advantage of it, and then watch how in two or three months these assets will go back up, the same ones in which people are telling you not to invest in it.

Speaker 3

So be mindful twenty three. In twenty twenty three.

Speaker 2

Investing is going to be a little bit more difficult if interest rates go up. And here's a cycle that for those of us that are veteran investors, we're going to see again banks are now going to extend loans to customers with no credit. I'm going to tell you what's going to happen. They're going to chop up these assets and put them in trances again and sell them

off to Wall Street. And when everything falls apart, guests who are going to blame the people who were under banked and had no credit, and they're going to blame them for the crash, while profiting on the upside of giving the loans and shortened the downside and being the ones who tell the government what to do to get out oft of the bella. I've been told the twenty twenty seven is when we're going to have our next

big crash. Twenty twenty three is going to be a small crash, and I said, squares the new JP Morgan. JP Morgan is behind this train or leading this train. But there's fifty three million people who do not have a credit score or they are under banked. They're looking at that as a huge market. But I want you to see the game inside of the game and understand what's going to happen.

Speaker 3

JP Morgan is leading the charge.

Speaker 2

I want you to go look at the next three or four big banks that are going to be involved in this. So when we have a crash in twenty twenty seven, you may be able to pick up those assets for cheap. Now, when nineteen keys is on, we talked about hololends and everything they have in the beginning, and that showed you Microsoft Mesh. This really caught me by surprise. Microsoft has created the first digital DNA hard drive. Let me say it again, they have created the first

digital DNA hard drive. We are getting into some fantasy land, scary ish, and they're going to use.

Speaker 3

It to store and retrieve data.

Speaker 2

So it stores information and synthetic DNA molecules that are created in the laboratory. So if they have a zore, which is cloud based competitor to AWS, and then they start to store all the DNA put in chat. If they can sequence the DNA to understand what can happen, what industries could they be involved in. We're getting involved into scary territory. But I think Microsoft's plan and I've been telling you guys for two years. Microsoft is going to be able to get into healthcare if Microsoft can

crack the code for cancer and genetic sequencing. Because a lot of the genome companies don't have any profit and the revenue is not as strong as it should. This could be their move into the next ten to fifteen years, which gives them a lot more livelihood in life.

Speaker 3

It's a key lesson.

Speaker 2

The companies with the most capital and best technological advantage will control the future. So I like Neo right, Neo is solid, not the best company, but they don't have an advantage of a Tesla. There's some tech companies that are like, they don't have more capital than Microsoft and Apple. This will be the next frontier. Healthcare is one of the most important spaces and you're going to see them make an aggressive push into their over the next few years.

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Speaker 6

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Speaker 3

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